Hello and welcome to this week’s edition of Beggs on the Used Car Market, with used car pricing data from Ricky Beggs and Black Book. Just when most all parts of the country thought winter was gone and pollen from the budding trees was the dominate particles in the air, we hopefully had the final blast of winter weather that swept across the Midwest and actually left Detroit enough of the white fluffy flakes to set an all-time record level of snow for the winter season.

As the Black Book Editors and survey personnel attended the auctions this past week there was a variety of comments about the market activity. Several mentioned being a little light on consignment and offerings and that the market was not as aggressive from the bidding side. As we have passed the official “tax day”, I am not surprised that the edgy condition units and the rough units continue to drop. But there was one comment from the Michigan market that said “the spring market has lasted longer than the past ten years”. This is most likely due to the tougher winter weather we have had. There is no doubt the strength in the market values and activity from the second week of March to this past week has brought some amazing levels of changes in the values. Now we may be starting to see a “more steady” market.

Last week we said that gas prices would probably be above the year ago price at the pump levels and with the $.05 increase this past week and ten consecutive weeks of increasing changes, to $3.65, that does put us $.11 higher than this time last year. It is interesting that diesel prices at the pump have now declined for the past five weeks and now is at $3.95 per gallon, just $.01 over year ago levels. The $.30 spread between gas and diesel is the closest the price has been since the $.27 spread back for the week of August 5, 2013. We will be watching to see if this entices the market on some of the diesel powered cars and trucks in the market.

Both the cars and the trucks average segment prices increased again, four straight weeks for the cars and five consecutive weeks for the trucks. One half of the car segments increased this past week. One streak ended as the Entry Level Cars missed being positive coming in at -$1. Both mid-size car segments continued their strength at +$34 each with the largest week over week increase being with the Full-size Cars at +$78. The decline in value of the Premium Sporty Cars of -$50 was the lowest weekly change over the past seven weeks for this segment. Does this mean spring time is finally here?

The truck market continues to show strength with thirteen of the fourteen segments increasing for an average change of +$34. Only the Luxury SUVs were declining at minimal change of -$2. We now have six segments that have increased for at least six consecutive weeks with the Compact Crossovers positive week over week for seven weeks running. The truck based Compact SUVs at +$71 has been the strongest change levels for three of the past four weeks.

We look forward to getting back on the lanes again this week to see if the positive changes continue or if those comments of a more steady market prevail. And we will keep our fingers crossed that we won’t be facing any snow on the cars, as I am sure the folks in Detroit and the New England area are ready for spring. Have a great week!